Missing Link......Your question has thrown me for a loop. Quite simply, a "brother-in-law" is either the man married to your sister......OR is your wife's brother.....OR the man married to your wife's sister.
Stop and THINK about this.
In any of the cases I've mentioned.....this couple's daughter would clearly be your NIECE! Period.....not your niece-in-law!! She's your niece BY BIRTH via blood siblings to either you or your wife. Get it?
The only female who might be referred to as a niece-in-law, would be a woman who married your blood nephew.......
Put another way: My biological SISTER has 2 sons. They are my nephews and they are married. I could technically refer to their wives as my nieces-in-law.....but to be honest, I would tend to refer to each as "my nephew's wife."
You're giving yourself a headache by complicating simple family connections. LOL